MILAN, Nov 2 (Reuters) - Shares in Italian beauty products manufacturer Intercos rose more than 15% on its market debut on Tuesday, after Milan’s biggest IPO of the year so far.
The contract cosmetics maker had priced its initial public offering (IPO) at 12.50 euros per share, in the lower part of an initial range of 12.0 to 14.5 euros per share, valuing the company at 1.197 billion euros.
By 0908 GMT, the stock was up 14.2% at 14.3 euros, outperforming a roughly flat MIlan All-Share index.
“Going to the market was important for us, both to have a certain standing and to allow capital to circulate,” founder Dario Ferrari, who will maintain control of the company with just over 40% of shares and nearly 58% of the voting rights, said at the launch. “We will keep control of the company and can work serenely, and if we need money, we will ask for it.”
Intercos made its debut with a free float of around 26.5% of capital, before the exercise of the greenshoe option.
Ferrari said the IPO had attracted demand for more than three times the shares on offer.
The company had intended to list up to 50% of its capital in the first half of 2020, but suspended that plan due to the coronavirus pandemic, sources told Reuters at the time.
Intercos supplies make-up and skincare products to top brands but does not disclose the names of clients.
Headquartered north of Milan, it has plants and research centres across Europe as well as in China and the United States.
At least three other listings are expected in Milan in the coming months, with heating systems company Ariston Group planning to come to market by the end of the year, followed by gaming group Sisal and energy group Eni’s new retail and renewable business in the first quarter of next year.
(Writing by Agnieszka Flak Editing by Mark Potter)
Source: Reuters